.R. No. 79025. December 29, 1989.

BENGUET ELECTRIC COOPERATIVE, INC.,

petitioner, vs.
HON. PURA
FERRER-CALLEJA, Director of the Bureau of Labor Relations, and
BENECO EMPLOYEES LABOR UNION,
respondents.

Facts:
Beneco Worker's Labor Union-Association of Democratic Labor
Organizations (BWLU- ADLO) filed a petition for direct certification as
the sole and exclusive bargaining representative of all the rank and file
employees of Benguet Electric Cooperative, Inc. (BENECO) alleging that
BENECO has in its employ 214 rank and file employees; that 198 or
92.5% of these employees have supported the filing of the petition; that
no certification election has been conducted for the last 12 months; that
there is no existing collective bargaining representative of the rank and
file employees sought to represented by BWLU- ADLO; and, that there is
no collective bargaining agreement in the cooperative.
An opposition to the petition was filed by the Beneco Employees Labor
Union (BELU) contending that it was certified as the sole and exclusive
bargaining representative of the subject workers pursuant to an order
issued by the med-arbiter; that pending resolution by the NLRC are two
cases it filed against BENECO involving bargaining deadlock and unfair
labor practice; and, that the pendency of these cases bars any
representation question.
BENECO, on the other hand, filed a motion to dismiss the petition
claiming that it is a non-profit electric cooperative engaged in providing
electric services to its members and patron-consumers; and, that the
employees sought to be represented by BWLU-ADLO are not eligible to
form, join or assist labor organizations of their own choosing because
they are members and joint owners of the cooperative.
The med-arbiter issued an order giving due course to the petition for
certification election. However, the med-arbiter limited the election
among the rank and file employees of BENECO who are non-members
thereof and without any involvement in the actual ownership of the
cooperative. The med-arbiter found that there are 37 employees who
are not members and without any involvement in the actual ownership
of the cooperative.
BELU and BENECO appealed but the same was dismissed for lack of
merit. So BENECO filed with the SC a petition for
certiorari
which the SC
dismissed for lack of merit in a minute resolution dated April 1986.
The ordered certification election was held in October 1986. Prior to the
conduct thereof BENECO's counsel verbally manifested that "the
cooperative is protesting that employees who are members-consumers
are being allowed to vote when they are not eligible to be members of
any labor union for purposes of collective bargaining; much less, to vote
in this certification election." BENECO submitted a certification showing
that only 4 employees are not members of BENECO and insisted that
only these employees are eligible to vote in the certification election.
Canvass of the votes showed that BELU garnered 49 of the 83 "valid"
votes cast.
Thereafter BENECO formalized its verbal manifestation by filing a
Protest. The med-arbiter dismissed the protest. BLR director Calleja
affirmed the med-arbiter's order and certified BELU as the sole and
exclusive bargaining agent of all the rank and file employees of BENECO.
Issue:
W/N employees of a cooperative are qualified to form or join a
labor organization for purposes of collective bargaining.
NO
Ratio:
Under Article 256 LC, to have a valid certification election, "at least a
majority of all eligible voters in the unit must have cast their votes. The
labor union receiving the majority of the valid votes cast shall be
certified as the exclusive bargaining agent of all workers in the unit."
BENECO asserts that the certification election held was null and void
since members-employees who are not eligible to form and join a labor
union for purposes of collective bargaining were allowed to vote therein